Equinix, Inc.
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:2,844,300 mtCO2e (Scope 1+2 market-based)
Scope 1 Emissions:29,000 mtCO2e
Scope 2 Emissions:234,100 mtCO2e (market-based)
Scope 3 Emissions:1,249,000 mtCO2e
Renewable Energy Share:96%
Total Energy Consumption:8,170 GWh
Water Consumption:1.07 (Annual Average WUE)
Carbon Intensity:322 mtCO2e/million USD (location-based)
ESG Focus Areas
- Climate Change
- Diversity & Inclusion
- Global Responsibility
- Health & Wellness
- Ethics & Compliance
- Supply Chain Sustainability
- Digital Inclusion
Environmental Achievements
- 23% absolute reduction in operational GHG emissions from a 2019 baseline (Scope 1 and Scope 2 market-based mtCO2e), even with a 36% increase in energy consumption.
- Maintained 96% renewable energy coverage across the portfolio for the sixth consecutive year.
- 8.8% improvement in Power Usage Effectiveness (PUE) compared to 2022.
- Executed 21 Power Purchase Agreements (PPAs), generating over 3,000,000 MWh of clean energy.
Social Achievements
- 6% increase in historically marginalized talent in the U.S. workforce (2023 vs 2022).
- 11% increase in employee volunteering year-over-year.
- Employee satisfaction scores remained steady between 83-84 out of 100 each quarter (average 83).
- $1.9M in employee donations, corporate matching, and community-based donations.
Governance Achievements
- 100% employee completion of Ethics and Compliance trainings.
- Third consecutive year as CDP Supplier Engagement Leader.
- Established Equinix Shared Responsibility Model dividing privacy responsibilities between customers and Equinix.
- Tied short-term incentive performance metrics for VP-level and above to environmental and social progress.
Climate Goals & Targets
Long-term Goals:
- Climate neutral across global operations by 2030
Medium-term Goals:
- 100% renewable energy coverage by 2030
Short-term Goals:
- Not disclosed
Environmental Challenges
- Increased costs to procure power due to inflation and global energy market volatility.
- Supply chain disruptions and inflation impacting construction projects.
- Permitting delays in most metros due to labor availability.
- Cybersecurity threats and potential breaches.
- Maintaining REIT qualification for US federal income tax purposes.
Mitigation Strategies
- Hedging, conservation, and other energy efficiency measures.
- Creating a reserve of materials to mitigate supply chain issues and inflation.
- Robust cybersecurity program, including regular employee training and incident simulations.
- Use of TRSs and QRSs to segregate income and maintain REIT qualification.
- Continuous monitoring of REIT compliance.
Supply Chain Management
Supplier Audits: 16 Supply Chain Facing Human Rights Impact Assessment
Responsible Procurement
- Supplier-set science-based targets
Climate-Related Risks & Opportunities
Physical Risks
- Severe weather events (droughts, wildfires, flooding, etc.)
- Power supply disruptions
Transition Risks
- Regulatory changes
- Increased electricity costs
Opportunities
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: GRI, SASB, TCFD, A4S
Certifications: ISO 14001:2015, ISO 50001:2011, LEED, USGBC Gold Member, ISO 27001
Third-party Assurance: PricewaterhouseCoopers LLP
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 9 (Industry, Innovation and Infrastructure)
- Goal 11 (Sustainable Cities and Communities)
- Goal 13 (Climate Action)
- Goal 17 (Partnerships for the Goals)
Equinix's initiatives contribute to these goals through renewable energy procurement, sustainable data center design, community engagement, and partnerships.
Sustainable Products & Innovation
- xScale data centers
Awards & Recognition
- CDP’s Climate Change “A” List
- Just Capital’s 2024 Rankings (#1 in Real Estate)
- NAREIT Diversity, Equity & Inclusion Silver Award